Dutch Innovation Policy

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Dutch Innovation Policy

  1. 2. Dutch Innovation policy organisation and main topics
  2. 3. Contents <ul><li>organisation of innovation and funding </li></ul><ul><li>Innovation: a systems approach </li></ul><ul><li>main topics and policies </li></ul><ul><li>AWT: ‘backing winners’ </li></ul><ul><li>AWT: ‘knowledge networking’ </li></ul>
  3. 4. Organisation, multiple agencies universities other educational instutions research institutes and interme- diairies (TNO, GTI’s) TTI (PPS) technological top institutes private companies ministry of education, culture and science ministry of economic affairs thematic funding e.g. NWO prime minister innovation platform supporting agencies separate funding of public and private R&D joint funding of interfaces
  4. 5. Government spending on R&D Total about 3,2 billion Euro per year (about 1% GDP, private spending almost equal)
  5. 6. Innovation: a systems approach Basis for policy formulation ministry of economic affairs: innovation depends on smooth interplay of all actors Demand customers (final demand) producers (intermediate demand Infrastructure banking, venture capital IPR and information systems innovation and business support systems standards and norms Company Systems Large companies mature SMEs New Technology based firms Education and Research system professional education and training higher education and research public sector research Intermediaries research institutes, brokers Framework conditions Financial environment, taxation and incentives, propensity to innovation and entrepeneurship, mobility.....
  6. 7. Main topics <ul><li>European paradox: excellent knowledge in public sector, but low utilisation in private sector </li></ul><ul><li>R&D expenditure below 2% GDP, target is 3% of which 2/3 private </li></ul><ul><li>underlying problem: economic growth stagnating, labour and social costs high </li></ul><ul><li>-> shift to knowledge-intensive enterprises strived for </li></ul>
  7. 8. Solution sought in.... <ul><li>stimulation of patenting by public sector </li></ul><ul><li>stimulation of knowledge-based starters </li></ul><ul><li>stimulation of cooperation between public and private sector (joint R&D) </li></ul><ul><li>strong focus on development of broad technologies (ICT, Life Sciences, nanotechnology) </li></ul>
  8. 9. Main financial incentives <ul><li>tax deduction for private R&D </li></ul><ul><li>joint projects: all kinds of businesses/technologies eligible </li></ul><ul><li>joint programs: aimed at selected technology areas </li></ul><ul><li>financing of high-tech starters </li></ul>
  9. 10. AWT: ‘backing winners’ <ul><li>advice aimed at basic principles of Dutch innovation policies </li></ul><ul><li>requested by ministry of economic affairs </li></ul><ul><li>published July 2003 </li></ul><ul><li>basis: what is innovation practice and how does it change </li></ul>
  10. 11. Main comments innovating company technological options non-technological knowledge development markets and competitors legislation financing public knowledge infrastucture private R&D suppliers <ul><li>innovation is more than technology, non-technological aspects </li></ul><ul><li>increasingly important </li></ul><ul><li>public sector not the only source of knowledge, in fact value </li></ul><ul><li>chain main source of information </li></ul><ul><li>building business on new knowledge is the hardest way </li></ul>
  11. 12. Main advice <ul><li>secure basis for innovation, good education and general research </li></ul><ul><li>use existing strong points in science and business as basis for growth (‘ backing winners’ ) </li></ul><ul><li>look at innovation in an integral fashion: innovation is more than research and technology </li></ul><ul><li>create innovation ‘hot spots’ to bind and attract companies (similar to cluster policies) </li></ul><ul><li>active cooperation of government, science and business, aiming at grasping opportunities </li></ul>
  12. 13. AWT: knowledge networking <ul><li>‘ European paradox’: </li></ul><ul><ul><li>High standards in knowledge development  not utilised to its full potential </li></ul></ul><ul><li>Discussion on ‘knowledge society’: </li></ul><ul><ul><li>AWT: uitlisation of knowlegde requires the active involvement and commitment of all the parties </li></ul></ul><ul><li>Motion Lower House of the Dutch Parliament (Joldersma) </li></ul><ul><ul><li>What are the requirements on the part of the business sector? </li></ul></ul><ul><li>Timing: November 28th </li></ul>
  13. 14. Points of departure in recommendations <ul><li>Absorption and utilisation of knowledge is done by people </li></ul><ul><ul><li>Primarily, businesses themselves are responsible </li></ul></ul><ul><ul><li>The government: supporting and faciltating role </li></ul></ul><ul><ul><li>NL has some catching up to do in this respect </li></ul></ul><ul><li>Policy should take account of different needs and problems </li></ul><ul><ul><li>Businesses differ in their innovation strategy </li></ul></ul><ul><ul><li>Strong focus on ‘direct’ research cooperation between knowledge institutes and businesses cuts out a large number of ‘innovative, development oriented’ small and medium sized enterprises. </li></ul></ul>
  14. 15. Recommendations <ul><li>Increase knowledge level in businesses. </li></ul><ul><ul><li>More highly trained staff; sustain their levels of competence </li></ul></ul><ul><li>Reinforce the creation of networks. </li></ul><ul><ul><li>Formal and informal interaction </li></ul></ul><ul><li>Increase staff mobility. </li></ul><ul><ul><li>Staff exchanges, traineeships, research and graduation projects, greater variety in postgraduate (doctoral) programmes </li></ul></ul><ul><li>More attention for conversion to applications. </li></ul><ul><ul><li>Important role for technical colleges, consultancy and engineering firms </li></ul></ul>

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